The KYC platform will support major banks and more than 120 companies verify the identity of customers
According to a recent press release, Dubai’s UAE KYC (know your customer) blockchain platform is now in its first phase of production, after it was announced in Q2 2020. The project is spearheaded by the UAE’s Central Bank with 120 companies and numerous active bank accounts already on board the platform.
“We are very proud to announce that the UAE KYC Blockchain Platform is now production-ready with over 120 companies already instantly onboarded by Emirates NBD with active and operational bank accounts. This is one of the initiatives that contribute to Agenda Number One of Dubai Model which focuses on improving customer experience”
According to the report, all Dubai trade licenses were transferred to the blockchain in Phase 1, which is roughly 40% of all trade licenses in the UAE. Blockchain has opened up new avenues for banks and other financial institutions to gain instant access to customer’s data and real-time updates.
The paper also mentions how the blockchain initiative could help economic recovery post COVID-19.
Astyanax Kanakakis, CEO of Norbloc, commented,
“(…) UAE as one of the first countries taking significant measures towards creating a digital low touch economy with simplified processes ensuring that business can continue to thrive in the post-COVID environment.”
The race is on
The UAE Government plans to digitise 50% of government transactions using blockchain by 2021. Furthermore, a Blockchain Council was formed, consisting of different financial and non-financial sectors to exploit the benefits of blockchain in increasing efficiency and reliability.
This narrative is very similar to the one China published in 2018. There could potentially be two blockchain powerhouses competing with each other to push for blockchain integration not only industry-wide, but also nationwide and worldwide.
Through various forms of blockchain deregulation and implementation, China and the UAE could revolutionise the blockchain industry. Streamlining the use of blockchain in government and corporate functions, sets a model for countries that have recently realised the benefits of blockchain, encouraging integration in countries such as Australia and Japan.